PFRDA wants Govt depts to fully adopt e-NPS method for onboarding new employees

Posted on by

Pension regulator PFRDA has urged all contractual government officials in central and state government along with independent bodies to adopt ‘e-NPS government’ method for recruitment of new employees as this allows them to easily open an NPS account and switch to paperless mode.

PFRDA said in a statement that adopting the ‘e-Government NPS’ method for onboarding new employees is essential to align with the goal of the central government’s Digital India program to transform India into a digitally-enabled society where submission of physical documents and certificates is not required. circular.

To date, nearly 9,000 accounts across various central and state government accounting profiles have been opened through the e-NPS mechanism.

Currently, NPS e-government is most used by Central Autonomous Bodies (CAB) followed by Ministries of Civil and Defense.

Higher efficiency

The main benefits of “e-NPS Government” are faster account opening, higher efficiency and bringing operational agility to contract offices due to paperless process and improved time.

Since e NPS-Government significantly reduces the response time (TAT) for account opening, monthly contributions to NPS for employees can be invested in a timely manner, which will result in higher investment returns for subscribers.

In fact, the government once considered making “e-NPS for Government” mandatory from 1st April 2022. However, it has been noted that there are still many contractual departments/offices of the government sector that have not adopted e-NPS government. holistic and therefore decided not to make it mandatory.

benefits

Some of the stakeholder benefits from its adoption include easier employee onboarding and online verification/authorization of employee NPS information by Nodal offices; Ease contract offices from the manual process of account opening and free them from handling paperwork and the challenges associated with sending physical forms to CRA/CRA FC; eSign/OTP paperless registration process; optimizing the cost of opening an account; Accelerate the account opening process as compared to the current methods of account opening methods available to the government sector and generate timely PRAN thus timely deposit of NPS contribution for higher investment benefits.

Also, since employees fill in data into the eNPS portal themselves while on board, data entry/digitization errors may decrease resulting in regression of forms rejection. PFRDA said there is also an elimination of the logistical cost associated with submitting physical forms by subscribers to contract offices, by contract employees to CRA-FC and resubmitting forms.